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Finance Calculators

Expense Ratio Impact Calculator

Verified formula Updated Jun 2026 Private — runs on your device

Enter details
₹
%
%
20 years
1 years40 years
Verified formula Private

Value after fees

₹80,62,312

Value without fees
₹96,46,293
Lost to fees
₹15,83,982

For general information only — not financial, tax, legal or medical advice. Verify before you rely on it.

How to use the Expense Ratio Impact Calculator

The Expense Ratio Impact Calculator works out your value after fees, along with 2 related figures in an instant. Enter investment amount, annual return and expense ratio and the result updates as you type — it is free, needs no sign-up, and runs entirely in your browser so your figures stay private.

  1. Enter the investment amount.
  2. Enter the annual return.
  3. Enter the expense ratio.
  4. Set the years invested.
  5. Read off your value after fees, together with value without fees and lost to fees — the calculator updates automatically, with no button to press.

Formula

The Expense Ratio Impact Calculator uses the formula:

Value after fees = Investment amount × pow(1 + (Annual return - Expense ratio) ÷ 100, Years invested)

Worked example

For example, with investment amount of ₹1,000,000, annual return of 12%, expense ratio of 1% and years invested of 20 years, the value after fees is ₹80,62,312.

Inputs used
Investment amount ₹1,000,000
Annual return 12%
Expense ratio 1%
Years invested 20 years
Results
Value after fees ₹80,62,312
Value without fees ₹96,46,293
Lost to fees ₹15,83,982

Results are estimates for educational use, not professional advice.

Key terms explained

Ratio
A comparison of two quantities showing how many times one contains the other.

Frequently asked questions

Fees reduce your annual return, and the gap compounds. A 1% expense ratio on a 10,00,000 investment over 20 years at 12% costs over 15,00,000 in lost growth.

It is the annual fee a fund charges as a percentage of assets, deducted from your returns whether the fund gains or loses.

Because it is charged every year and compounds, a seemingly small 1% fee can consume a large share of long-term gains.

Favour low-cost index funds and ETFs, and compare expense ratios before investing. Small differences add up hugely over decades.

The Expense Ratio Impact Calculator uses the formula: Value after fees = Investment amount × pow(1 + (Annual return - Expense ratio) ÷ 100, Years invested). For example, with investment amount of ₹1,000,000, annual return of 12%, expense ratio of 1% and years invested of 20 years, the value after fees is ₹80,62,312.

Enter the investment amount. Enter the annual return. Enter the expense ratio. Set the years invested. Read off your value after fees, together with value without fees and lost to fees — the calculator updates automatically, with no button to press.

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